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Govt needs economic growth miracle: Hockey

Shadow treasurer Joe Hockey says the federal government will need a miracle to achieve its forecast three per cent economic growth for the 2012/13 financial year.

The September quarter national accounts released on Wednesday showed the economy grew by 3.1 per cent over the year, which was a slowdown from growth of four-percent-plus in the March quarter.

"If the treasurer is going to deliver on his forecast three per cent growth this financial year, you are going to need some sort of miracle recovery over the next few quarters," Mr Hockey told reporters in Sydney.

Mr Hockey said the September quarter growth of 0.5 per cent was the slowest since the 2008-2009 global financial crisis, barring the impact of the Queensland floods in early 2011.

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It was also the first quarter to capture the introduction of Labor's carbon and mining taxes on July 1.

"The data suggests consumers are very cautious. It is no surprise because consumers are being hit by the carbon tax," Mr Hockey said.

"The cost of living is unquestionably having an impact on households, and escalating electricity prices are causing them to have grave concerns."

Mr Hockey also noted growth in company profits has now slid for four consecutive quarters.

"There is a vulnerability in the economy that is not being dealt with by the Gillard government."